Our View: HSC is a great example of business, government, community working well together

Published 8:00 pm, Wednesday, May 2, 2007

The news that Hemlock Semiconductor Corp. will expand its polycrystalline silicon facility in Saginaw Countys Thomas Township is welcomd by the Saginaw Valley and the entire state of Michigan.

The 800 temporary construction jobs and the 500 additional permanent jobs that will result are sorely needed in a state that has the highest unemployment rate in the nation and that has watched an exodus of people to states more friendly to business, and less costly to homeowners.

In addition, it gives a needed shot in the arm to Saginaw County, whose tax base has been ravaged of late by the closing of automobile plants and their related suppliers. Semiconductor, which was the third largest taxpayer in Saginaw County a year ago, likely will secure the top spot there.

The announcement of an expansion at the worlds leading producer of a product that is the foundation for an industry that is growing at the rate of 35 to 40 percent per year gives hope that Michigan can perhaps secure more of the business.

Gov. Jennifer Granholm Wednesday said the state should adopt state policies enticing more solar power industry businesses to Michigan. With that we cannot disagree.

But right now Granholm and the Legislature have the opportunity to entice more business and industry to the state  and not just in the solar industry  as they work to replace the single business tax that was repealed late last year.

Even more, perhaps the governor and the Legislature should look at how HSC went about its business of selecting Thomas Township, a site that HSC president Rick Doornbos said was "the clear winner" after a global search of locations.

What HSC doesnt know  how much it will pay in taxes once the tax structure is changed  took a back seat to what it does know. It knows that there is a pool of readily available, educated labor. It knows that energy suppliers, the state and the company worked well together crafting a rate plan the energy-intense industry could live with. It knows that the regional governments promised to make the needed infrastructure improvements to make the site more attractive. It knows that the local educational institutions have programs to fit its needs. It knows the state and local governments gave them enough of a break from the total tax burden to make the deal feasible.

And, HSC knows that it had, and has, tremendous support from the people and the governments in the area.

Now, if Granholm and the Legislature can craft a tax plan that is attractive to all business, not just one or two industries, perhaps the entire state of Michigan can resemble the business structure we have in the Valley, where chemical, auto, medical and now solar, industries work side by side to provide a great quality of life.